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San diego county office of education epg June 2011

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Guide updatesJune 2011 energy planning Guide:What’s New?aB920Assembly Bill 920 (AB 920) requires investor-owned utilities (IOU) to compensate Net Energy Metering (NEM)customers for any net surplus generation as of Jan. 1, 2011. Currently, the California Public Utilities Commission(CPUC) has not yet approved a ruling on what the dollar value per kilowatt-hour to be paid will be, but isexpected to be retroactively applied after the decision is approved. The progress of this decision can be foundat http://docs.cpuc.ca.gov/published/proceedings/A1003017.htm.California solar initiative (Non-Residential)Currently, The California Solar Initiative’s (CSI) Non-Residential incentive budget in San Diego Gas and Electric(SDG&E) service territory (administered by CCSE) is expended; all un-confirmed Non-Residential kilowattsin the CCSE territory are not ensured a CSI incentive at this time. Applicants may continue to submit theirreservation requests and CCSE will include your application on the CSI Non-Residential Project Waitlist basedon the time and date it was received. Consequently, CCSE cannot guarantee that unreserved Non-Residentialphotovoltaic (PV) or Commercial electricity-displacing solar water heating (SWH) projects will receive CSIincentives in the future. Current waitlist can be found at https://energycenter.org/index.php/incentive-programs/california-solar-initiative/non-residential.sB585Senate Bill 585 (SB585) amends the California Solar Initiative (CSI) statute to allow the 10-year program tocollect additional funds above the current $2.167 billion current cap in order to fully fund the non-residentialportion of the solar program. The bill would address the funding shortfall of approximately $200 millionneeded to fully attain the California Public Utilities Commission (CPUC) authorized goals for the program.High performance incentive (Hpi) GrantsEffective January 25, 2011, revisions to the HPI regulations significantly increased the incentive amounts.A High Performance Base Incentive Grant (HPBIG) is now available for projects utilizing the 2009 CA- CHPSCriteria. The HPBIG awards $250,000 for modernization projects meeting the minimum threshold of 20 HPIpoints and $150,000 for new construction projects meeting the minimum threshold of 27 HPI points. TheHPBIG was created as a onetime per school site incentive to apply for HPI Grant funding. 1

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CHapteR 1introductionSan Diego schools, along with schools throughout In parallel with the AB32 mandates, California Energythe nation, spend a significant amount of each year’s Commission (CEC) 2008 Building Efficiency Standardsoperating budget on energy costs. While generally finalized in May of 2009 are effective as of Januaryrepresenting only 2 to 4 % of district budgets, energy 1st, 2010. These standards supplant the CEC 2005costs tally up to $8 billion a year nationwide for schools1. standards and build more technical detail and rigorFortunately, through building modernization, efficient into Part 6 of the Title 24 requirements.new construction and conservation techniques,schools can potentially save upwards of 20% on Locally, San Diego Association of Governmentstheir annual energy costs. The purpose of this energy (SANDAG) proposed to use 2007 consumption levelsplanning guide is to provide San Diego region school (18,648 GWh) as a baseline from which to achieve abusiness officials and facility managers with an easy 22% reduction in consumption by 20202. San Diegoreference document that identifies common (and not schools will play a definitive role in achieving the manyso common) strategies for developing energy saving energy related goals currently being established inprojects and energy management plans. California.Starting in 2010, California Assembly Bill 32 (AB32) In order to address these objectives, we mustmandates that government buildings, utilities and comprehensively incorporate the four keymajor manufacturers must know and verify how components of a thoughtful energy plan in order tomuch their facilities contribute to carbon emissions. make implementation effective and achievable:AB32 empowers the California Air Resources Board • Public Policy Initiatives / Mandatesto develop metrics and reporting mechanisms that • Energy Management Benchmarkingwill steer California toward reducing Green House • Third-Party Feasibility AssessmentsGas emissions to 1990 levels by 2020. Although not • Financial Structures, Rebates and Incentivesspecifically named, schools should be aware of thissweeping legislation, as it will dramatically affectbuilding energy efficiency code and simply because itis wise to begin planning now for how to bring schoolfacilities into compliance with AB32 goals. Energy Management Objective Feasibility Benchmarking Assessments Financial Structures, Public Policy Rebates and Incentives Initiatives/Mandates Strategic Energy Plan project development/ implementation 3

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overviewThis guide is structured to provide school businessofficials with an easy to follow reference toolwritten in plain language with bite-sized concepts.The sections are broken out into discrete actionsas outlined in the AB32 legislation for developingmeasures ranging anywhere from a cohesive, district-wide energy strategy to a specific site and project.The document is peppered with relevant energyfactoids, linked references and contains quick-linksto navigate around the document as it is read. Ascompanions to this Energy Planning Guide, a varietyof supporting documents are available for downloadand use including:• Questions to Ask Your Contractor• Energy Saving Tips• Energy Project Request for Proposal• School Board Resolutions• Reference Link Pool• School Based Case StudiesIf you see something we’ve missed, please contactus at eas@energycenter.org and alert us to theinformation you would like to see included and we’llreview it during the monthly update process.The distinct sections are broken out to describeprotocols ranging anywhere from a cohesive, district-wide energy strategy to a specific site and project.Key ReferencesWe encourage you to review these documents as wehave used them through this guide.• Coalition for Adequate School Housing Guide Book: Planning for Energy Efficiency• School Operations and Maintenance: BEST PRACTICES FOR CONTROLLING ENERGY COSTS• The Customer’s Guide to Solar Power Purchase Agreements (Rahus Institute Publication) 4

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CHapteR 2strategic energy planningThe main objective of this chapter is to identify a value of energy savings opportunities. As energyplanning framework that focuses on short and long costs escalate, the list of economically viable energyterm objectives by understanding historical energy efficiency and distributed generation technologiescosts and current state and federal policy initiatives. expands. A project with estimated costs of $100,000 might not work if you are only saving $150,000 overplanning Horizons the life of the technology, but mightEvery energy plan should address The California Department be worth considering later, when itimmediate needs/objectives, while will save you $200,000.keeping future needs/objectives in of Education estimates thatperspective. Therefore each plan The current energy pricing as well California schools spendmust consider short, medium and as the percent change in historicallong term goals. $132 per student each year pricing are commonly used as justification to define the potential on energy costs. savings a district might realize dueThe short term (<5 years) planningaddresses the most immediate to a modernization project. Forneeds and can be supported by example, a solar power purchasecurrent industry models and conditions. Is your provider (PPA) may propose a price for each kilowatt-roof in need of repair? Is your district considering a hour produced by a solar system that increases annuallyproposal brought forward by a vendor? Planning and based on some defined “escalator” that is relative toanalysis done on short term objectives will generally historical utility rate escalation. The following graphyield the most accurate savings results, because the identifies the average cost per kilowatt-hour (cents/foundation of the model will be based on current kWh) of energy sold to commercial San Diegantechnology performance and market conditions. entities (which schools fall under) since 1982.Medium term (>5 and ≤10 years) planning establishesforward looking goals for larger scale modernization(such as new building construction/expansion)and helps to establish medium-view sustainabilityobjectives achieved over time.long term (>10 years) goals typically aim to defineachievable reduction objectives, but are very rarelytied to actual project planning. Long term goals reflectwhere a district wants to go, but do not necessarilydefine how to get there and in many ways are thework statement for the energy plan. Additionally, thelong term vision may be influenced by or may mirrorstatewide and/or nationwide legislative requirementssuch as aB32. CEC price trend for commercial SDG&E customersHistorical energy CostsThe cost of energy is a key indicator that directly affectsboth the operational budget spending as well as the 5

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Although the late eighties experienced a period metering contract to provide an inspection reportof declining energy costs, rates have consistently to the electrical corporation, unless the electricalincreased since 1990. Although prices declined generating facility and meter have been installed orsharply from 2001 through 2003, the price decline inspected within the previous 3 years.was an anomaly such that prices shot back up in 2004,higher than the 2001 price point. Breaking down the Clean technology and Renewable energy Jobaverage percent change in pricing year over year, we training, Career technical education, and dropoutsee very different pictures depending on the length prevention program (sB675)of the term we are analyzing: sB 675 (Clean technology and Renewable energyi. short term (last 5 years): +12.5% Job training, Career technical education, andii. Medium term (last 10 years): +6.1% dropout prevention program) – This bill would:iii. long term (last 20 years): +3.4% require the Controller annually to allocate $8,000,000 from the Energy Resources Program Account to thepublic policy implications Superintendent of Public Instruction for expenditureMany projects are dependent upon public policy in the form of local grants to be allocated pursuant toinitiatives that help create an environment that is the existing provisions for creating and maintainingconducive to the development of energy projects. This partnership academies; require a grantee to implementincludes incentive programs, utility rate design and or maintain a partnership academy that focuses onperformance requirements. The following measures employment in clean technology businesses andmay impact energy projects in 2010 and beyond. renewable energy businesses and provides skilled workforces for the products and services for energysan diego County solar and Wind energy or water conservation, or both, renewable energy,ordinances pollution reduction, or other technologies; requireThe Solar Energy Ordinance (POD 09-006) codifies the California Energy Commission, in consultationcurrent processes with regard to Solar Energy Systems with the State Department of Education, to developand also allows for less than 10 acres of photovoltaic guidelines, that would be exempted from thesolar panels with an Administrative Permit rather than Administrative Procedure Act, to ensure that programsthe current requirement of a Major Use Permit. The receiving grants reflect current state energy policiesminor wind set of ordinance (POD 10-007) changes and priorities as well as provide skills and educationremoved outdated references to old state code and linked to the needs of relevant industries; authorizeallows for up to 5 (rather than the previous 2) smaller- a school district to apply for planning grants forsized turbines with an Administrative Permit. implementing a partnership academy and would allow the Superintendent to expend up to 4%-5%Net energy Metering (aB510) of the funds transferred to the Superintendent toaB510 requires that the standard contract or tariff pay the costs incurred in the administration of thisfor net energy metering be offered on a first-come- program; require the State Department of Educationfirst-served basis until the time that the total rated in consultation with the California Energy Commissiongenerating capacity used by eligible customer- to provide a report to the Legislature that includes agenerators exceeds 5% of the electric utility’s aggregate description of the curriculum and substance of thecustomer peak demand. The bill would require an programs funded by grants awarded pursuant toelectrical corporation to include a provision in the these provisions, and specified data; and providenet energy metering contract or tariff requiring that that the bill’s provisions would become inoperativeany customer with an existing electrical generating on June 30, 2016, and, as of January 1, 2017, wouldfacility and meter who enters into a new net energy repeal these provisions. 6

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Climate Change/Greenhouse Gas Reduction • Excess generation applied to Benefiting AccountsaB 32 – In 2006, the Legislature passed and will be valued at the generation-only componentGovernor Schwarzenegger signed AB 32, the Global of the time-of-use rateWarming Solutions Act of 2006, which set the 2020 • A Generating Account customer can take servicegreenhouse gas emissions reduction goal into law. under either a NEM tariff or a RES-BCT tariff, butIt directed the California Air Resources Board (ARB not bothor Board) to begin developing discrete early actions, • The utilities may charge a one-time set up fee pereffective as of January 1, 2010, to reduce greenhouse account of up to $500. The utilities may charge agases while also preparing a scoping plan to identify monthly billing charge to the generating accounthow best to reach the 2020 limit. The reduction of no more than $30 per month per monthmeasures to meet the 2020 target are • Generating Accounts, as wellto be adopted by the start of 20113. as Benefiting Accounts, are allowed to participate in CPP (Critical Peakefficiency performance standards Pricing) serviceCalifornia state energy Code (Title • SDG&E shall modify its RES-24) – Compliance at 15% above title BCT tariff to allow customers to take24 is desired. service under Schedule DG-RGreen Building action plan for state • Benefiting Account must receivefacilities – All employees and all service under a TOU scheduleState entities under the Governor’s • Electricity exported by the localjurisdiction shall immediately and government may not be soldexpeditiously take all practical • Remaining credits are carriedand cost-effective measures to over to the next month, but expireimplement the goals of the Green at the end of 12 monthsBuilding Action Plan specific to • Local government must givefacilities owned, funded or leased 60 days advance notice beforeby the State4. operation, within 30 days utility must file an advice letter with the CPUC,utility Rate design CPUC must respond within 30 daysaB 2466 – Authorizes a local government entity • Renewable Energy Credits (RECs) associated withto receive a credit on their electric bill for power energy remain property of the generatorsgenerated from a renewable energy facility owned by • Statewide, there is a limit of 250 MWthat entity that generates more energy than required • A Generating Account customer can take serviceto serve the site where the facility is located. under either a NEM tariff or a RES-BCT tariff, but not bothRenewable energy self-Generation Bill Credit • Local government is responsible for metering andtransfer (Res-BCt) – Public Utilities Code 2830, interconnectionestablished by AB 2466 (Laird, 2008), requires utilities • CPUC is responsible for preventing RES-BCT fromto establish a tariff which allows local government shifting costs to bundled service customersentities to generate electricity at a primary account • IOU is responsible for maintaining transmissionand transfer any excess credits to another ‘benefiting’ and distribution infrastructure and billingaccount so long as both facilities are owned oroperated by the same local government. Any ‘Local aB 1969 (Ca feed-in tariff) – Allows for the sale ofgovernment’, defined as a city and or county, political excess energy to SDG&E for a price point establishedsubdivision, school district, or UC or CSU campus may by the CPUC called the Market Price Referentparticipate in RES-BCT5. (MPR). The MPR is set based on grid technology• Systems limited to 1 MW capacity per generating account 7

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distribution and retail costs to generate that energy. first-serve until the funding runs out. In NovemberThe dominant generation technology is a combined- of 2010, Collaborative for High Performance Schoolscycle gas turbine, which does not support renewable (CHPS) and the Division of the State Architect (DSA)technology implementation such as solar. entered into a Memorandum of Understanding (MOU) that allows a school district to apply jointlyaB 920 – Assembly Bill 920 (AB 920) requires for CHPS Verified recognition and Proposition 1Dinvestor-owned utilities (IOU) to compensate Net High Performance Incentive Grant funding. In theEnergy Metering (NEM) customers for any net CHPS Verified program, accountability rests on thesurplus generation as of Jan. 1, 2011. Currently, the design team, school district, CHPS, DSA (for designCalifornia Public Utilities Commission (CPUC) has not review) and a 3rd-party reviewer (for constructionyet approved a ruling on what the dollar value per review) to ensure that the high performance featureskilowatt-hour to be paid will be, but is expected to be are implemented as intended. Effective January 25,retroactively applied after the decision is approved. 2011, revisions to the HPI regulations significantlyThe progress of this decision can be found at http:// increased the incentive amounts. A High Performancedocs.cpuc.ca.gov/published/proceedings/A1003017. Base Incentive Grant (HPBIG) is now available forhtm. Although the details still need to be worked projects utilizing the 2009 CA- CHPS Criteria. Theout the current proposed method of determining HPBIG awards $250,000 for modernization projectsthe amount of compensation will be based on the meeting the minimum threshold of 20 HPI pointsCommission-adopted Market Price Referent (MPR), and $150,000 for new construction projects meetingadjusted by time of delivery factors. The resulting net the minimum threshold of 27 HPI points. The HPBIGsurplus compensation rate in the current proposed was created as a onetime per school site incentive todecision ranges from 10.8 to 12.7 cents per kilowatt apply for HPI Grant funding. As of March 2011, therehour. This rate includes payment for the renewable is about $900 million in Prop 1D spending authorityattributes of the net surplus generation6. remaining for modernization projects, $300 million in state bond authority for new construction, and $70The ownership of any Renewable Energy Credits million left in high performance incentives. For the(RECs) associated with this excess generation will current information on the remaining bond authority,transfer to the utility upon the sale to the utility. go to http://www.bondaccountability.opsc.dgs. ca.gov/bondac/proposition/proposition1D.asp.7state funding and incentive programsHigh performance incentive (Hpi) Grant – California Bright schools program (All publicly funded K–12voters approved a $100 million high performance school districts and nonprofit K–12 schools are eligibleschool incentive package under Proposition 1D for assistance from the Bright Schools Program.) –in November 2006. Incentive grants are awarded As school budgets are shrinking, costs for schoolon the basis of a project’s High Performance operations keep going up. One way to save moneyRating Criteria” (HPRC) score. The funding is part is by reducing your energy costs. The Bright Schoolsof a larger $7.3 billion package to upgrade public Program offers services to help find ways for you toschools, including kindergarten through twelfth become more energy wise8.grade. The high performance incentives will fundnew construction and modernization projects that The Energy Commission is temporarily suspendingpromote the efficient use of water, natural resources technical assistance provided under the Bright Schooland energy, and also provide superior indoor air Program (BSP). Due to workload constraints associatedquality, acoustics, and lighting. School projects with American Recovery and Reinvestment Act (ARRA)that are eligible for California state funding are also funds, technical assistance is no longer being offeredeligible for incentives for meeting the Proposition 1D to BSP applicants as of December 3, 2009. Typically,High Performance school regulations. Eligible schoolprojects will be awarded incentives through the Officeof Public School Construction (OPSC) first-come, 8

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the technical assistance program has provided energy CPUC to develop the underlying methodologies andaudits to K-12 schools to identify energy saving future program design.recommendations or reviews of energy proposalsand designs. Technical assistance will continue to be Update - Currently, The California Solar Initiative’s (CSI)conducted for ARRA related activities9. Non-Residential incentive budget in San Diego Gas and Electric (SDG&E) service territory (administered byemerging Renewables program (Eligible CCSE) is expended; all un-confirmed Non-Residentialtechnologies include small wind turbines with a rated kilowatts in the CCSE territory are not ensured aoutput of 50 kilowatts (kW) or less and fuel cells that CSI incentive at this time. Applicants may continueuse a chemical process to convert renewable fuels to submit their reservation requests and CCSE willinto electricity.) – The California Energy Commission’s include your application on the CSI Non-ResidentialEmerging Renewables Program provides rebates to Project Waitlist based on the time and date it wasconsumers who install qualifying renewable energy received. Consequently, CCSE cannot guaranteesystems (small wind or fuel cell electricity systems) that unreserved Non-Residential photovoltaic (PV)on their property. Your financial incentive may or Commercial electricity-displacing solar watervary according to the system size, technology and heating (SWH) projects will receive CSI incentives ininstallation method10. the future.12California solar initiative (Eligible technologies CCSE will diligently track due dates of previouslyinclude, photovoltaics and other solar electric reserved projects and maintain their progress throughgenerating technologies. Other solar electric the application process. If these projects do not meetgenerating technologies are categorized as either the designated timelines, they will drop out of the CSIelectric displacing or electric generating. Electric Program, and the reserved funds will be reallocateddisplacing: Solar space & process heating and solar to the wait listed projects in the order received13.driven cooling (e.g., absorption and adsorptionchillers and desiccant systems); Electric generating: sB585 Senate Bill 585 (SB585) amends the CaliforniaDish Stirling, Solar Trough, Dish and Lens and Solar Initiative (CSI) statute to allow the 10-yearConcentrating Solar). The CSI Program offers program to collect additional funds above the currentincentives for both photovoltaics (PV), as well as $2.167 billion current cap in order to fully fund theother solar electric generating technologies that non-residential portion of the solar program. The billeither generate electricity or displace electricity would address the funding shortfall of approximatelyusage. Currently, other solar electric generating $200 million needed to fully attain the Californiatechnologies are only eligible Public Utilities Commission (CPUC)for production based incentives. The true cost of a school authorized goals for the program.Incentives for other solar generation The additional funding will helptechnologies that displace electricity includes much more than attain approximately 400 MW ofare capped at $100.8 million . The 11 non-residential solar through the the cost to design andCalifornia Public Utilities Commission CSI. If passed as-is, SB585 would(CPUC) plans to offer $100 million in build it, long-term costs allow the CPUC to immediatelyincentives over the next ten years amend the budget and effectivelyfor solar thermal technologies under must also be included. open the “wait-list” portions of thethe California Solar Initiative. State CSI program14.law (Senate Bill 1) limits CaliforniaSolar Initiative incentives to electric-displacingtechnologies, such as absorption cooling. Currently,CSI program administrators are working with the 9

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self Generation incentive program (sGip) (Eligible by 25%). The applicant must demonstratetechnologies include Renewables Level 2 Incentive: to the Building Division that the projectFuel Cells operating on renewable fuels, wind exceeds the Title 24 minimum standardsturbines and advanced energy storage coupled by submitting compliance documentationwith renewable eligible self generation technology done on a computer program approvedand four hour discharge at rated capacity; Non- by the California Energy Commission. TheRenewables Level 3 Incentive: Fuel Cells operating on County of San Diego has a Green Buildingnon-renewable fuels and advanced energy storage Incentive Program designed to promotecoupled with non-renewable eligible self generation the use of resource efficient constructiontechnology and four hour discharge at rated capacity). materials, water conservation and energyOnly self-generation equipment installed on the Host efficiency in new and remodeled residentialCustomer’s side of the Electric Utility meter is eligible. and commercial buildings. The program offersSelf-Generation refers to distributed generation incentives of reduced plan check turnaroundtechnologies installed on the customer’s side of the time, no fees for the building permit and planutility meter. Equipment must be sized to serve all or check of residential photovoltaic systems anda portion of the electrical load at the Site . Through 15 a 7.5% reduction in plan check and buildingthe SGIP, the California Center for Sustainable Energy permit fees for projects meeting programprovides incentives for up to 5 megawatts (MW) of requirements16.distributed generation equipment. Qualifying “self-generation” equipment must be certified to operate federal funding and incentivesin parallel with the electrical grid and meet other american Recovery and Reinvestment act (aRRa) –criteria established by the CPUC. Facilities and Energy Funding OpportunitiesGreen Building incentive program (Projects must federal tax Grant program – The American Recoverycomply with one of the conservation measures listed.) and Reinvestment Act of 2009 (H.R. 1) created 1. Natural Resource Conservation: straw bale a renewable energy grant program that will be construction or recycled content material administered by the U.S. Department of Treasury. This (recycled content material requirements cash grant may be taken in lieu of the federal business must either show 20% or more of the primary energy investment tax credit (ITC). In July 2009 the materials being used in the building system Department of Treasury issued documents detailing and contain 20% or more post-consumer guidelines for the grants, terms and conditions and recycled content, or show that at least one a sample application. There is an online application primary building material (such as roofing) is process, and applications are currently being 50% or more post-consumer recycled content, accepted. See the US Department of Treasury [any reused materials will be found to satisfy program web site for more information, including the 20% post-consumer recycled content answers to frequently asked questions. Grants are requirement]); available to eligible property placed in service in 2. Water Conservation: the installation of a 2009 or 2010, or placed in service by the specified graywater system (Graywater is the wastewater credit termination date, if construction began in produced from bathtubs, showers and clothes 2009 or 2010. The guidelines include a “safe harbor” washers. In order to conserve water, it can provision that sets the beginning of construction at be used for irrigation through subsurface the point where the applicant has incurred or paid at distribution systems.); least 5% of the total cost of the property, excluding 3. Energy Efficiency: Energy use below CEC land and certain preliminary planning activities. standards (residential projects that exceed Generally, construction begins when “physical work the minimum Title 24 standards by 15% and commercial projects that exceed the standards 10

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of a significant nature” begins. It is important to note lamps retrofit; 7) Installation of lighting controlsthat only tax-paying entities are eligible for this grant. such as occupancy sensors, dimming, photocell, etc.Federal, state and local government bodies, non- Mechanical: 1) Pneumatic controls to Direct Digitalprofits, qualified energy tax credit bond lenders, and Control (DDC) conversion; 2) Constant Volume Aircooperative electric companies are not eligible to Handlers to Variable Air Volume Controls conversion;receive this grant17. 3) Variable Frequency Drives installations on pumps and motors; 4) Upgrades on heat pumps and chillerQualified energy Conservation Bonds (QeCB) systems; 5) Demand Control Ventilation; 6) Chilled Water and hot water loop outside air reset; 7) PremiumBuild america Bonds (BaB) efficiency motors retrofits; 8) Condensing boilers. Controls: 1) Installation of Energy ManagementClean Renewable energy Bonds (CReB): Eligible System; 2) Installation of SCADA system; 3) Vendingtechnologies include wind, closed-loop biomass, machine controllers; 4) CO sensors for parkingopen-loop biomass, geothermal, solar, small irrigation garages fans) 19power, landfill gas, trash combustion, hydropower or 1. Energy Conservation Assistance Accounta marine and hydrokinetic renewable energy facility Program (ECAA) low interest loans: Currentlyunder § 45(d) over-subscribed. 2. Production Tax Credit (PTC). CompaniesIn March 2010 Congress enacted H.R. 2847 (Sec. that generate wind, solar, geothermal and301) permitting “New” CREB issuers may make an “closed-loop” bio energy (using dedicatedirrevocable election to receive a direct payment -- energy crops) are eligible for the PTC,a refundable tax credit -- from the Department of which provides a 2.1-cent per kilowatt-hourTreasury equivalent to and in lieu of the amount of (kWh) benefit for the first ten years of athe non-refundable tax credit which would otherwise renewable energy facility’s operation. Otherbe provided to the bondholder. This option only technologies, such as “open-loop” biomassapplies to “New” CREBs issued after the March 18, (using farm and forest wastes rather than2010 enactment of the law. In April 2010 the IRS dedicated energy crops), incrementalissued Notice 2010-35 providing guidance on the hydropower, small irrigation systems, landfilldirect payment option18. gas and municipal solid waste (MSW), receive a lesser value tax credit of 1.0 centstate energy program: Eligibility includes energy per kWh 20efficiency and on-site solar electric or other on site 3. Business Solar Investment Tax Credit (IR Coderenewable energy generation improvements §48): The bill extends the 30% ITC for solar energy property for eight years throughenergy efficiency and Conservation Block December 31, 2016. The bill allows the ITC toGrant: According to state law, all eligible be used to offset both regular and alternativeprojects must focus on energy efficiency and minimum tax (AMT) and waives the publicmust be cost-effective. Typically, the most cost- utility exception of current law (i.e., permitseffective projects include, but are not limited to: utilities to directly invest in solar facilitieslighting: 1) T-12 lamps and magnetic ballasts to and claim the ITC). The five-year acceleratedT-8 lamps and electronic ballasts conversion; 2) T-8 depreciation allowance for solar property islamps (32 watt) to T-8 lamps (28 watt) conversion; permanent and unaffected by passage of3) HID and Incandescent street lighting to induction the eight-year extension of the solar ITC21.or LED street lighting conversion; 4) HID lighting forparking garages or lots to induction or LED lightingconversion; 5) Incandescent or fluorescent exit signsto LED exit signs; 6) Incandescent lamps to fluorescent 11

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energy Costs and RatesThe value of energy is established based on each energy versus demand. Utility tariffs have twoutility’s cost to produce and deliver that energy primary cost components, Generation/Energy andduring different times of the day. In the case of Delivery/Demand). For the electric industry, energyInvestor-Owned Utilities, they analyze how much is the quantity of electricity supplied or usedthey expect to spend in the future to provide power (consumed) by an individual customer, averageto utility customers, then they define the rates and customer, group of customers or class of service. Itjustification to the Public Utilities Commission (PUC), is the product of power (in watts) and the amountand, finally, the PUC accepts or rejects the tariff. This of time for which the power was used. Demand isprocess can play out multiple times a year as the the rate at which electric energy is used at a givencost to produce energy shifts due to world events, instant or averaged over a designated time interval.which may result in significant changes to the value In the examples shown above, energy is similar toof a customer’s energy project. For this reason, it very a car’s odometer and demand is similar to a car’simportant to understand how applicable utility rate speedometer.structures can affect the total utility bill and what thatmeans for your energy project. figure 3: time of usefigure 1: energy vs. demand (http:// www.think-energy.net/KWvsKWH.htm) (http://www.think-energy.net/KWvsKWH.htm)figure 2: energy vs. demand energy is billed out in dollars per total kilowatt-hours consumed and for most commercial customers at different rates depending on the Time-of-Use (TOU). For example, if the customer used 100kWh, 200kWh, and 500kWh during the On, Semi and Off-Peak periods over the course of a month, the bill would be: (100kWh x On-Peak Rate) + (200kWh x Semi-Peak Rate) + (500kWh x Off-Peak Rate) = Total Consumption $ (http://www.think-energy.net/KWvsKWH.htm) 12

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demand is generally billed out based on the under the customer’s capacity reservation will bemaximum demand value achieved during the month billed at the CPP-D Period rates.”of operation. For example, if the maximum demandreached by the customer was 100kW, the cost would “The customer shall be responsible for paying abe 100kW x Demand Rate = $ monthly Capacity Reservation Charge (CRC) for 12-months, as set forth in the Rates section, forCritical peak pricing (Cpp) is a new complex utility each kW of reserved capacity.” 22rate structure available to commercial customers.This new tariff can provide customers that have That last section is important because it states thatpredictable load needs, who are able to reduce customers will be paying for the insurance policy fordemand when called upon to do so, savings upwards every month of the year, even though CPP eventsof 15% on their current utility costs compared with only happen during the summer season and may notthe AL-TOU tariff. These customers must be willing happen at all. To put these costs in reference, a facilityto forgo the risk mitigation mechanism known as with a 100kW capacity level during the peak periodthe Capacity Reservation. However, the actual CPP of the day would have to spend $639 per month inutility costs compared with the standard commercial order to not incur the additional $1/kWh for energytariff (AL-TOU) are highly unpredictable due to a consumed during a CPP event. That’s an additionaldependence on the occurrence or non-occurrence of $8,000 a year spent on a mechanism designed toCPP events. insure against high energy costs. Customers do have the option to elect for any capacity reserve amountThe uncertainty of how many CPP events the including zero, but for customers who use largeutility experiences during the summer season will volumes of energy during summer peak periods, onedetermine the value of the CPP tariff for subscribing CPP day and no capacity reserve can result in verycustomers. In the case of SDG&E, the CPP tariff allows high energy costs for that month.SDG&E to call an event between 0 and 18 times a year,expecting to average around 9 days a year. While on Again, for frame of reference, a customer that averagesthe CPP tariff, the customer must establish a minimum a monthly maximum demand of 422 kW consumesneeded capacity reservation (CR) such that during an average of 30,000 kWh during the peak periodsa CPP event, if the customer is unable to reduce of each month at a peak price of $0.122/kWh duringdemand below the CR, that customer will experience non-event days for an average monthly peak periodhigher cost energy for every kilowatt-hour consumed energy cost of $3,660 during the summer season.while above that CR. Here’s the official definition: That breaks down to consuming approximately 1,250 “Capacity Reservation: Customers shall be provided with the option to self-select and reserve a level of generation capacity, specified in kW, that would protect that portion of their load from the CPP-D Period rates applicable during a CPP Event. Customers electing to reserve capacity for multiple meters shall be required to submit a separate reservation level for each meter. All usage during a CPP Event that is protected under the customer’s capacity reservation will be billed at the Non-CPP Event Day On-Peak period rate for CPP Events occurring on weekdays and the Off-Peak period rate for CPP Events occurring on Saturdays. All usage during a CPP Event that is not protected 13

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kWh during each peak period day of the month solar does not inherently offset demand charges, the(11AM-6PM, Monday - Saturday except Holidays), only way to reduce demand cost is to use demandor about $152 a day in peak period energy charges. limiting measures, or, in the case where limitingLet’s now assume the CR is set to zero and a CPP demand is not an option, changing to a tariff withday is called. That customer must now pay $1.107/ lower demand costs.kWh for every kWh consumed during the CPP event(peak period only), which in this example will result utility Bill Cost Composition. An electrical utility bill isin $1,377 of energy charges for that day instead of composed of a number of different charges. Demand,the $152, increasing the monthly peak period energy Consumption and other fixed fees and taxes. Thecharges from $3,660 to $4,885. Considering that CPP primary components of the bill are the Demand andevents are designed to motivate customers to shed Consumption charges. As demand charges composeload during the energy hungry periods when the more of the utility bill, onsite energy generationtemperature is high and many homes and businesses systems become less effective at offsetting a largeare consuming significant volumes of energy for the portion of the total bill because on site generationpurposes of cooling, it reasonable to assume that systems do not offset demand usage. In order towhen there is cause for one CCP event, there may be offset these demand charges, a combination of onsitecause for more. generation and a tariff with reduced demand rates is the most beneficial.tariff strategies 1. Maximizing Savings – In order toutility Billing (tou vs Non-tou). PIER research created an maximize savings, a combination ofUtility companies use different rate onsite generation and an electricity easy benchmarking processstructures when billing a customer tariff with reduced demand ratesfor their energy and demand use. to determine how well is the most beneficial. With thisUnderstanding these structures new tariff, the amount of annualcan be beneficial in choosing which each building in a school savings increases in a linear fashionapplicable tariff would be best district is performing. offsetting up to 100% of energyfor a specific site, especially when charges. Therefore, the maximuminstalling on site generation. There savings attainable is with a systemare Time of Use (TOU) rates and flat that produces 100% of the energybilling rates. In a TOU rate, energy consumption and/ costs along with an onsite generation “friendly”or demand electricity prices vary by specified time tariff. Unless one can accurately ensure the energyperiods of the day. In a time-of-use rate structure, usage of the building will not vary too muchhigher prices are charged during utility peak-load overtime, it is unwise to offset 100% of energytimes. Such rates can provide an incentive for costs as changes in energy usage and systemconsumers to curb power use during peak time. product can result in negative effects. 2. Maximizing Payback – Maximizing paybackIf demand is not a specifically called out component requires maximizing the value of kilowatt-hoursof a utility rate (only being billed on kilowatt-hour produced by the onsite generation system ($consumption), the demand component of usage savings/kWh production). This can only be doneis built into the $/kWh price for each period. For a with a combination of onsite generation and atariff that does not have TOU rates, the demand costs tariff change. Depending on the bill composition,are typically based on one price and the maximum the $/kWh as a function of system productiondemand usage measured over all 15-minute intervals can either increase or decrease with a largerduring that billing period. sized system. In the case where the value of system production decreases with increased size,TOU energy rates offer the best value for offset costsfrom solar, since PV system production is at its peakwhen energy costs are highest from the utility. Since 14

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installing a system that will produce the minimum for improvement as well as highlight facilities with amount of solar required by the new tariff will best practices. It is often viewed as the first step to yield the largest $/kWh value, which lowers the developing a cohesive and targeted energy plan. payback and initial project costs. However, if the There are a variety of tools available to accomplish $/kWh increases with increased system size, then the task of tracking and comparing consumptions installing the largest system (up to offsetting across multiple facilities. The Energy Star Portfolio 100% of energy charges) will yield the highest $/ Manager is viewed as the industry standard and many kWh value and the lowest payback. In summary, new incentive and funding opportunities will require maximizing the value of the energy produced will Energy Star Benchmarking in order to participate, result in the fastest payback. therefore, we encourage the use of the Energy Star toolkit. Most engineering consultants should beaccessing Your energy Consumption data aware of or knowledgeable in using benchmarkingThe absolute first step to understanding your tools, and the Energy Star toolkit is considered theconsumption is to obtain access to your consumption standard by which other tools are compared.data from the local utility. Energy consultants willneed this data to target the systems for savings and Creating an energy planalso as inputs for the school benchmarking. For The resource document titled, “Planning for Energyschool meters using the standard commercial utility Efficiency,” by California’s Coalition for Affordabletariff AL-TOU, detailed consumption data is available School Housing does a fantastic job of outlining thethrough a variety of channels: various elements of a district wide Energy Plan and1. direct from the utility account manager – Many school board resolution. They also include a Sample utilities have account managers that work as Plan that any district can adopt to their own needs direct contacts for large customers. These account and we encourage you to make use of this resource. managers will work with utility customers to help them understand tariffs, obtain consumption data and run “what if” scenarios for changing tariffs.2. downloadable from energy Waves – SDG&E provides a quick portal where all customers (residential and commercial) can quickly enter in their account information to receive consumption and billing data for the most recent 18-months.3. downloadable from kWickView – For customers with a time-of-use meter (anyone on AL-TOU or CPP has a TOU meter) that is tracking and monitoring 15-minute interval data. The web portal also has some basic analysis tools that will allow you to make portfolio consumption comparisons and to download the data in both aggregated and 15-minute interval formats. Meters on the non-TOU A rate are only available through Energy Waves.BenchmarkingBenchmarking the energy consumption of a facilityagainst similarly functioning facilities is an excellentenergy management method that will result in abetter understanding of how energy is used by eachfacility and district that may help to identify areas 15

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CHapteR 3project development and ManagementProject scoping is often established by installation approach to designing the various building systemscontractors as part of the free bid development for efficiency and creating system synergies aroundto a prospective client. The more prudent process intended results, such as designing a roof to maximizeof determining the site needs and project scope the available square footage for the installation ofis to conduct a pre-project feasibility assessment solar. Retrofit projects are generally constrained byeither utilizing in-house experts or qualified, the existing facility footprint and infrastructure layoutindependent third-party engineering consultants such that the new system must seamlessly integratethat will not financially benefit from into the old design. In many ways, the retrofit projectthe installation of the project. The is defined by the technical andresulting study should identify not Throughout California, economic constraints of existingonly the potential for energy cost systems; whereas new constructionsavings, but also should layout the local government requires must contemplate how to designmanufacturer agnostic project scope permits for residential and the infrastructure systems to easilyassociated with those savings. accommodate the desired building commercial solar projects functions, such as maximizing Third Party Assessments are a daylighting by designing the facility (there are more than 550 way for a client to insure the such that each room has easy access scope of the project is based on local jurisdictions). to installing skylights. the site need, not the product line being sold by a vendor. Additionally, the benefits of a retrofit project are typically related to improving uponAlthough most contractors/vendors do not overtly historical consumption patterns and costs. Newintend to mislead their clients, they do typically have a construction projects make assumptions as to howvested interest in expansion of the project scope and each system will be utilized, but the actual economicmay bolster their savings information and benefits to benefits may not be fully understood until after themake the project appear more attractive. Having a facility is in operation and use patterns are defined.third party perform a separate rates analysis, annual Therefore the economic basis for specific systems willsavings calculation and system payback provide generally be more accurate for a retrofit project thanthe client with an alternate opinion from which to a new construction project.compare vendor proposals in order to assist in thedecision making process. This helps the project owner developing an Rfpbecome objectively informed about the potential A Request for Proposal (RFP) is essentially a way to tellproject scope and benefits. In the case of solar Power prospective vendors what work you want done, howPurchase Agreements (PPA), third party assessments you want them to do it and when the bids and workcan determine what the facility owner can afford to are due. An RFP also helps you to create a structure topay to a PPA provider for the electricity produced by organize your needs and timeline.the system. The content of the RFP should contain a statementproject planning New Construction versus Retrofit of work that provides details of the site needs;The approach to planning a new construction project desired results; background material on the project;versus conducting a facility retrofit starts with theproject intent. Planning a new construction projectis complex to develop, but allows for a more holistic 16

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a schedule that specifies when activities should identifying Qualified Contractorsbe completed and deliverables are due; specifics Projects are commonly identified and initiated byon vendor responsibilities; details on the bidding; contractors and vendors looking to do the workproposal evaluation method and selection process; for the client. While this is an easy approach for theand details on payment amounts and methods. A client, as the contractor provides cost estimates andsample solar RFP developed by UCSD around a power performance expectations, it lacks the diversity andpurchase agreement can be viewed here. Additionally, due diligence a comprehensive bid process offersthe Energy Services Coalition has the client. By developing the worksome good resource documentation A school installing a scope independent of the installingon RFPs for energy performance contractor and then putting thecontracts for energy efficiency. 250kW PV system within work out for bid, a client is more the city of San Diego may likely to receive a variety of solutionsGoals and objectives – Goals and and pricing aimed at meetingobjectives refer to the anticipated see permitting fees up to the goal, not necessarily aimedproject outcomes. Goals and at selling a product. However, as $1,200.objectives should be stated clearly with any bid, identifying qualifiedand include quantifiable targets. contractors can be tricky, but is critical to getting quality, actionableJustification/technical Merit – What is the importance bids. CCSE maintains a list of licensed contractors byof the project and why is it needed? Where is it service type that is routinely managed to eliminatelocated? What is the context of the project in terms of contractors with formal complaints against them oraccomplishments? Is the action tied to or identified who are non-licensed.in an existing plan? What is the basis for the activity(extent to which the project is based on analysis andidentification of limiting factors).experience – Applicants must show capacity toimplement the scope and scale of the proposed workand the ability to successfully complete the projectwithin the proposed budget and timeline.Budget/Cost effectiveness – The budget descriptionshould detail all funds requested and all matchingfunds and in-kind contributions and follow the budgetformat provided. It should also include informationon whether matching funds and other contributionsare pending or secured. CCSE Vendor Listevaluation of project proposal - The Department of http://energycenter.org/index.php/resource-center/State Architecture RFP evaluation criteria included vendor-listthe following categories: Solar Contractors1. Certification of the Stipulated Sum as prerequisite http://www.gosolarcalifornia.ca.gov/database/ to further evaluation of the proposal; search-new.php2. Designated Subcontractors; SWH Eligible Contractors3. Design and Construction Management Plan; http://energycenter.org/index.php/incentive -4. Small Business/DVBE Utilization Plan; programs/solar-water-heating-pilot-program/5. Building Systems Description; and eligible-contractors-list6. Quality Enhancements23. 17

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Managing the project timelineProject timelines are typically determined by site Joint purchase agreements (Jpa)need and construction lead times, but more recently, Joint purchase agreements leverage multiple projectsmust synergize with project financing and incentive and multiple site owners in order to receive reducedtimeline requirements as well. Many energy projects contract pricing based on economies of scale. Forare now eligible for lucrative tax incentives and state example, a solar project developer may be able torebates that define the maximum time available achieve reduced hardware costs for a single contractto complete the project. For example, the 30% that is requesting five MW of solar versus five discretedepreciation tax rebate available to solar generation contracts looking for one MW of solar each. On thesystem owners sunsets at the end of 2010, therefore energy efficiency side, planning for lighting retrofitsthe project timeline must take that into consideration under a JPA will result in lower equipment costs andwhen determining the project viability over time. Many competitive labor rates due to the size of the potentialincentive programs also have project completion contracts. The difficulty with a JPA is refining the clienttimelines and deliverable dates that must be satisfied needs such that there is enough commonality in thein order to maintain incentive eligibility. project scope to result in project cost reductions. Regional school districts are good candidates forAdditionally, some retrofit projects will inherently this type of activity because the parallel needs anddisrupt daily operations, so consideration must be similar operating conditions should simplify themade, such as planning work during off-hours or in JPA scope enough to warrant cost reductions; Andphases, so as not to create disturbances to normal daily supervising agencies such as the San Diego Countybusiness operations. For example, lighting retrofits Superintendent of Schools is well suited to supportfrequently require work to be performed during this activity.off-hours, but can be planned and accomplishedin phases by area, so as not to leave any occupants Validating post-project impact (Continuouswithout light or accessibility to building areas. Commissioning) Confirming the resulting impact of the installed project on energy usage and utility costs can be tricky and sometimes difficult to quantify, if this process was not considered prior to construction. In the case of energy efficiency, it is incredibly valuable to include discrete system load monitoring by installing low cost metering solutions that will directly monitor and report the energy consumption associated with that system. Most incentive programs will require some form of post-project validation or metering in order to receive the incentives. 18

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CHapteR 4energy efficiency strategies and MeasuresThe adoption of increasingly energy efficienttechnologies, energy management systemsand operational best practices create recurringenvironmental and economic benefits for the facilityand its community. Energy efficiency improvementsare widely accepted as the first and most effectiveway to reduce utility energy consumption costs andcan dramatically reduce the costs of a DG projectby reducing the amount of capacity needed fromthe DG system. Many energy related state incentiveprograms require some form of energy efficiency auditand evaluation in order to improve the value of theprogram objectives and are driven by the CaliforniaEnergy Commission’s reports on ImplementingCalifornia’s Loading Order For Electricity Resourcesand the Long-Term Energy Efficiency Strategic Plan. In some cases, the benefits of an energy efficiency upgrade may be neutralized by not adhering toTo reiterate what was mentioned in Chapter 2, a key intended operational criteria, thereby defeating theconcept that is being repeated in many new state and purpose of the project. Such is the case when thefederal energy efficiency programs is benchmarking. facility has a zonal HVAC system, but personnel optNew programs will require participating entities to use costly plug-in electric space heaters instead ofto benchmark their buildings using the Energy coordinating with facilities maintenance to properlyStar Benchmarking system. This provides a way adjust the zonal controls.to compare each facility’s energy consumptionagainst the average consumption of similar type In all cases, the operations protocol surroundingand use facilities. This comparison creates a better each building system should be pre-defined by theunderstanding as to what is “common” use and system manufacturer and/or the system engineerhighlights where there may be distinct opportunities based on the project scope and targeted savingsto save energy. opportunities. The operations protocols should be readily available to facility operators along with highfacility operations and Maintenance quality operational training and education. EnergyBy effectively operating, monitoring and managing monitoring systems greatly improve the operationalfacility energy use, schools can reduce energy costs feedback loop to facility managers, creating a way toby up to 20%24. The operation of a facility primarily quantify the impact of specific operational changes.consists of marrying site specific behavioral energy Having an annual re-commissioning schedule forconsumption with cost effective use conditions to building systems provides a way to recalibrate theprovide both a comfortable and efficient educational operational conditions to adjust for constantlyenvironment. The act of maintaining those systems changing energy consumption patterns and buildinghelps prevent deterioration of effective use and system capabilities, which in turn optimizes theprevents operational disturbances caused by system project payback over the life of the system.failures. 19

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As a part of the every completed energy project, automatic and consistent feedback on events annual review of the financial impact associated and system disturbances/failures. Installing an with that project is imperative to understanding EMS related to demand response initiatives can the continued value of each system as it relates pay for the EMS system outright many times over to the intended financial outcome. The method through utility incentive programs such as the TATI for this analysis should be considered as part of program and can satisfy eligibility requirements operational protocols and determined during the for alternative utility rates that reduce energy installation of the project. costs for demand response compliant customers.The following are high quality measures for Retrofitting existing facilitiesmonitoring and managing energy usage. Frequently, the structural “bones” of a facility are1. sub-Metering – In certain situations, it may not maintained while the internal systems are modified or be practical for a utility to individually meter each replaced until the cost to modify or replace the internal tenant or building, nor is that cost effective for the systems exceeds the costs to construct a new structure end-user, since most commercial utility tariffs bill altogether. For schools, there is a mountain of data that demand charges based on the highest demand supports a systematic approach to energy efficiency value in each month. Therefore, sub-metering retrofits based on operational characteristics and cost is an effective way to monitor consumption for effective technology upgrades. For example, lighting discrete portions of the site energy use. The utility retrofits have excellent payback periods because company reads only the master meter(s) of the proper lighting is needed throughout the facility and site and it is the duty of the owner to monitor and the technology improvements are consistently and manage the sub-metering data. For schools, this dramatically reducing lighting energy consumption. can help to identify and target specific areas of target systems high energy consumption. lighting2. energy Management Compact Fluorescent and systems (eMs) – The term LED Lighting (Task Lighting) Energy Management – One of the easiest energy System generally refers to savings measures to a computer system which implement for lighting is to is designed specifically for replace any incandescent the automated control and task lighting bulbs with monitoring of the heating, compact fluorescent ventilation and lighting lighting(CFL). These CFL needs of a building or bulbs can be swapped out group of buildings such for incandescent without as university campuses, having to buy new fixtures office buildings or or ballasts in most cases. For factories. Most of these recessed lighting, special energy management CFL bulbs will need to be systems also provide purchased because of the facilities with the ability increased heat associated to electronically collect and with the enclosed recessed read electricity, gas and water meters25. The data space. Light emitting diodes (LED) are viewed as obtained from these can then be used to produce the next generation of lighting technology since trend analysis and annual consumption forecasts. They also support the management of energy usage in the building or facilities and provide 20

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they generally consume ¼ the energy of a typical much higher frequencies (20KHz and up) thanCFL, but the technology cost proposition still the standard 60 Hz at which magnetic ballastslimits use to niche or demonstration projects. operate lamps. Electronic ballasts generally provide significantly less power consumption with only a slight reduction in light output compared with using magnetic ballasts. There Turn off lights when not in are some electronic ballasts with higher ballast factors (as high as 1.2) that produce more light use—lighting accounts for than magnetic ballasts, but as with all things, nearly 50% of the electric cost is a factor. bill in most schools. Induction lamps operate similar to fluorescent lighting with the exception that they are void of contact electrodes. Induction lamps conductFluorescent and Induction Lighting (Classrooms the energy to the gas using an electro-magneticand Hallways) – The most common lighting field, which in turn extends the life of the bulbfound in classrooms and hallways are linear significantly while reducing energy consumptionfluorescent lighting. Fluorescent bulbs illuminate as much as 40% compared with similarlywhen the mercury in a gas filled lamp is excited specified fluorescent bulbs. Induction lighting isby electricity; resulting in the emission of UV generally costlier than fluorescent lighting butradiation that in turn is converted into visible as costs come down, induction lighting appearswhite light by the phosphor coating on the bulb. to be the next generation of effective lightingThe phosphor coating determines the color solutions.qualities of the light. Fluorescent lamps useelectrodes to strike the arc and initiate the flowof current through the lamp, which excites the Energy comprisesgas fill. approximately 80% to 90%Each time voltage is supplied by the ballast and of the annual cost, andthe arc is struck, the electrodes degrade a little, between 65% and 85%eventually causing the lamp to fail. T12 lamps andmagnetic ballasts are high energy consuming of the life cycle cost of alighting and should be replaced with electronicballasts and T8 lamps whenever possible. T8 lighting system.lamps require electronic ballasts specificallydesigned to operate lamps at a lower current thanT12 lamps. Whenever T12 lamps are replaced High Bay Lighting (Gymnasiums) – In high baywith T8 lamps, the ballast must also be replaced. areas such as gymnasiums where natural daylightElectronic ballasts offer lots of advantages over is sometimes limited, switching lighting typesmagnetic ballasts such as no flicker, less heat, can be incredibly cost effective. The lightingmuch less noise and the ability to operate as most common in gymnasium areas today is highmany as four lamps to a single ballast. Some bay metal halide. Induction lighting is quicklyoffer dimming, soft start, rapid start, instant start becoming the best alternative to metal halideand programmable start. Programmable start lighting. Induction lamps are ideally suitedballasts are used in conjunction with motion for high-ceiling applications where the lampssensors or dimming photosensors.Electronic ballasts operate fluorescent lamps at 21

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are difficult, costly or hazardous to access. Theincreased costs occurs in the induction systemsthemselves – which could be 2-3 times morethan metal halide systems, and also in newfixtures, which can inflate payback periods andreduce return on investment. It is also possiblewith high-bay induction lighting to get upwardsof a 30% reduction in capital and operatingcosts immediately from the reduced number offixtures made possible by the higher light output.Apply that over ten years, plus replacement andmaintenance costs, and suddenly it makes a lotof sense to consider induction lighting systems.Over the long term period induction lighting is can get by on daylighting alone, so a commonthe best high-bay alternative, but for a short term compromise is the use of multiple levels of lightsolution, high output T-5 fluorescent fixtures activation switching. The perimeter offices of amay also be an effective solution26. building with outside exposures can have some lamps in each fluorescent ceiling fixture on oneAccent, Parking and other Ancillary Lighting – control switch and the balance of the lamps onInduction lighting is an effective solution for another, allowing for the stepping up of lightoverhead parking area lighting. Cove lighting, output based on external light availability. Forpathway lights and other accent lighting are example, three lamp fixtures permit four levelsgood niche applications for LEDs. LEDs work of lighting: off, one, two and three lamps. In largeespecially well in conditions where it is cold, such open offices, exterior hallways or classroomsas exterior path lights for night time illumination. with perimeter daylighting, the outermost rowIf exterior lighting loads are metered separately of lights can be controlled separately; supplyingfrom building loads, there may be unique savings lighting only when a photosensor indicatesopportunities related to tariff utilization and the daylight is inadequate. The additionaldistributed generation. cost for controlled lighting can be recouped through the resulting savings andDaylighting - Using external light occupant’s comfort associated Using Energy Starto illuminate an interior space is with daylighting. Exterior lightingexcellent opportunity to reduce equipment can save 50% (building, parking and pathwayenergy consumption in areas lights) should be put on timers or on energy costs. photosensors to reduce exteriorwhere accesses to externalwalls and the roof are possible. lighting during day light periods27.There are retrofit technologies that supportthe introduction of external lighting to interior Heating, Ventilation and air-Conditioning (HVaC) –spaces through roof and wall penetrations. It is critically important that retrofitted packaged units need to be properly sized for the intended applicationLighting Controls – Synergizing with energy instead of simply replacing the unit with a similarlymanagement systems, lighting controls help sized unit. The standard operations of a facility mayreduce operating costs by controlling the amount change compared with the original designed use,of artificial light in unoccupied or naturally therefore a system replacement should take theday lit areas. For areas with skylight or large current operating use into consideration. A commonsouth facing windows, continually dimmingphotosensors can be used to take advantage ofand maximize the natural daylight. Few offices 22

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theme addressed throughout this document holds fans and pumps – For the schools with large HVACtrue for HVAC systems as well: abide by or exceed title equipment that serves large buildings with multiple24 code for any HVAC ductwork retrofit. zones, installing variable frequency drives (VFDs) Cooling – A majority of schools in San Diego on the motors of the fans and pumps can reduce County have Roof Top Units (RTUs) as their primary energy costs by running the fan at a graduated source of heating/cooling. RTUs offer individual output based on air flow need. Adding control zone conditioning, where extending or replacing sequencing to optimize the operation of the pumps a centralized HVAC system is cost prohibitive. and fans can further increase energy savings. Older units may need replacing if their Seasonal Energy Efficiency Ratio (SEER) is significantly Minimize plug load use –Unplugging appliances lower than their modern counterparts. Newer over extended break periods, providing timed units offered by some manufacturers (Carrier, operation power strips and implementing Trane, York, etc) offer SEER ratings of about 15 operational plans to make sure computers, monitors SEER. The higher the SEER rating, the better the and other daily use systems are turned off each efficiency and, therefore, energy savings. night will minimize the cost of always-on plug- loads. Plug loads should be Energy Star rated. Heating – Most of the space heating for San Diego County schools is provided by the same Building envelope - Increasing wall insulation RTUs mentioned above. The domestic hot thickness or replacing insulation with higher R value, water system can save energy by switching replacing windows with dual pane or low energy from the traditional storing of heated water windows and instructing staff to lower blinds and in insulated tanks to “tankless” or on-demand close curtains in the summer saves energy. Closing hot water heaters. Though tankless units cost curtains or blinds will reduce the radiant contribution more than most conventional water heaters, of the light and also reduce the conduction of thermal they’re cheaper to operate because energy isn’t energy (heat) through the window. An air space is required to maintain a large tank of hot water created between the blinds and the window that, 24 hours a day. As with any heater, natural gas since air is an outstanding insulator, increases the is preferred over electric as the heat source resistance to heat flow. Utilizing vestibules can be an due to lower emissions and energy costs effective energy saving measure. compared with standard utility grid electricity. A double set of doors reduces a major portion of theRefrigeration – Schools do not have large refrigeration building load attributed to the envelope, exfiltrationloads, however replacing large commercial and infiltration. The double set of vestibule doorsrefrigerators and freezers with newer more efficient greatly reduces the flow of air through an entrance.energy star rated commercial refrigerators is an option Automatic operation prevents a clear passage for airfor reducing refrigeration load. A new ENERGY STAR flow, since one set of doors is always closed. Also, thespecification for commercial refrigerators and freezers volume of air trapped between the portals acts as abecomes effective January 1, 2010. On average, buffer to the transfer of heat through the vestibule.ENERGY STAR qualified products covered under When there is no traffic, the trapped volume, or air,this new specification will be more than 30% more is an effective insulator that increases the thermalenergy efficient than standard options. To encourage resistance of the passageway.customers to buy energy efficient products, ENERGYSTAR partners occasionally sponsor special offers, such The critical exposures of a building in the northernas sales tax exemptions or credits, or rebates on qualified hemisphere are those facing south and west. Theyproducts. Partners also occasionally sponsor recycling receive the most direct sunlight in the summer andincentives for the proper disposal of old products. account for a majority of the building’s summer 23

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heating load. Trees can shade the walls and even the schools, grocery stores, hotels and hospitals. Thisroof of small structures. Deciduous trees, in addition, interactive energy management tool allows you towill lose their leaves in the winter to expose the track and assess energy and water consumptionbuilding to the warming sunlight28. across your entire portfolio of buildings in a secure online environment. The LEED for ExistingWeather-stripping doors can reduce the amount Buildings Rating System helps building ownersof outside air infiltration as well as prevent and operators measure operations, improvementsconditioned air from leaking out of the building. and maintenance on a consistent scale, with theConsider retrofitting your roof insulation to a goal of maximizing operational efficiency, whilerigid R-30 (zone 7) panel or adding insulation minimizing environmental impacts. LEED for Existingup to a R-39 (zone 10) value to your attic. Buildings addresses whole-building cleaning and maintenance issues (including chemical use),Kitchen appliances - The single most intensive recycling programs, exterior maintenance programsuser of electricity in an institutional facility, such as and systems upgrades. It can be applied both toa school or hospital, is the kitchen. This is especially existing buildings seeking LEED certification for thetrue of a kitchen in which most of the appliances are first time and to projects previously certified underelectric. An expensive but potentially worthwhile LEED for New Construction, Schools or Core & Shell30.project is to convert an all electric kitchen to gasappliances that are cleaner, more efficient and energy star and leed New Construction Guidelinescheaper to operate. There are many incentives – The LEED for New Construction Rating System isavailable for Energy Star rated appliances29. designed to guide and distinguish high-performance commercial and institutional projects, includingenergy star and leed Benchmarking for existing office buildings, high-rise residential buildings,Buildings – The EPA has made benchmarking easier government buildings, recreational facilities,by providing a national energy performance rating manufacturing plants and laboratories31. Prerequisitessystem, currently available for office buildings, K-12 and credits in the LEED 2009 for New Construction and Major Renovations addresses 7 topics: Sustainable Sites (SS), Water Efficiency (WE), Energy and Atmosphere (EA), Materials and Resources (MR), Indoor Environmental Quality (IEQ), Innovation in Design (ID) and Regional Priority (RP). LEED 2009 for New Construction and Major Renovations certifications are awarded according to the following scale: Certified 40–49 points, Silver 50–59 points, Gold 60–79 points, Platinum 80 points and above32. 24